NASSAU, BAHAMAS — There is currently limited understanding of the potential of 5G technology in The Bahamas, according the Utilities Regulation and Competition Authority (URCA).
URCA also found that there is limited established demand for the services from both residential and non-residential users.
The communications regulator while recently announcing the release of its Public Consultation on the Demand for Enhanced Internet Connectivity and 5G in The Bahamas noted the concerns of local operators that worry “ubiquitous” 5G is currently not economically viable due to the high capital costs it would require and the limited or uncertain demand.
URCA further reported that at this stage and in the short-term, the demand for 5G is expected to be limited in The Bahamas, and if anything “it would be circumscribed to specific and prospective use cases in certain industries.”
The regulator noted that this may in part be driven by the limited awareness of 5G in The Bahamas.
URCA said that it has engaged with a wide range of stakeholders on the issue, including representatives of various sectors within the Bahamian economy, operators licensed to provide electronic communications services within The Bahamas and members of the public in The Bahamas, through surveys, interviews, and other methods and measurements.
“Given the feedback received to-date, URCA’s focus going forward will be on monitoring developments and requests from such targeted demand amongst industry groups,” the company stated.
“For specific sectors that will require high-speed connectivity in the form of 5G (eg, tourism, national security, and logistics), URCA’s priority will be enabling and facilitating these use cases. It will do so by engaging further with the relevant stakeholders in order to better understand their needs.
“Further, URCA will seek to mitigate any supply, policy and/or regulatory barriers preventing these use cases to materialize on a commercial basis,” the regulator noted.
Overall, participants in the focus groups meetings were reported to view internet connectivity as an important input to their operations and the economy as a whole, which has become even more important since the Covid-19 pandemic and the general digitalization trend.
“Generally, the participants indicated that existing electronic communications services, if optimized, are sufficient for most of their day-to-day operational needs, as of now and in the near future. While many participants expressed intrigue into the potential of 5G and mentioned some speculative use cases, there were no clear or strong use cases emerging for 5G arising from the focus group meetings, “ URCA noted.
The regulator added: “URCA notes that many participants expressed concern with respect to the apparent failure of the three main operators in The Bahamas to deliver high quality, reliable service to meet the demands of their repsective businesses and/ or mandates.
“Many of the participants also expressed a strong desire for improved customer service, increased affordability, increased transparency in customer communications, and more resilient service delivery by BTC, and CBL. URCA notes that the prevailing focus in the discussions during the focus group meetings was on fixed network based connectivity services, and particularly fiber connectivity, rather than fixed-wireless access or mobile connectivity services.”
The regulator also noted that participants expressed a strong desire for better service delivery nationwide, particularly in the Family Islands where network coverage gaps remain, and the need for (reliable and fast) connectivity is urgent.
“There is a relatively high degree of dissatisfaction with the current service level, in terms of reliability, quality of service, customer support or care and thus value for money,” URCA said.
“In this context, some participants claimed that the cost of internet, especially for businesses, is too high in The Bahamas. This may, in part, be related to many of the participants purchasing connectivity from both BTC and CBL as redundancy in the event of a loss of service. Generally, URCA notes that most of the participants expressed a preference for the focus to be on resolving issues on current internet connectivity services, before upgrading to a new technology.”
URCA noted that its consultation is the first step in its overall plan to assess and enable 5G in The Bahamas, by seeking to develop a more in-depth and evidence-based understanding of the current and potential future demand and use cases for enhanced internet connectivity and 5G services in The Bahamas.
URCA said it will organize 5G working groups in due course, involving representatives of URCA, the Government and the operators in order to identify and address any outstanding regulatory and policy issues, before eventually developing a roadmap to 5G deployment in The Bahamas.
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